Buyers push asking prices down

Tuesday, 19 May 2009 9:51 AM

Properties sold for 6.2 per cent lower than their asking price in April.

The National Association for Estate Agents (NAEA) today revealed buyers are able to push sellers down on the price of a property.

The biggest discounts come from semi-detached properties - where 6.6 per cent or £14,087 was knocked off.

Buyers of flats and detached properties brought down sellers by 6.4 per cent and there was a 5.4 per cent difference between asking prices and selling prices on terraced properties.

However, the gap between asking prices and selling prices is narrowing.

Stuart Clarke, of the NAEA Suffolk branch, explained where sellers are being realistic with asking prices sales are being made.

However, buyers are also being too demanding.

"Many of the offers being made are still 10 per cent to 15 per cent below asking prices even though a sensible price is being asked," he said.

"Some buyers are walking away if their first offer is not accepted."

The NAEA research also showed initial signs of the market bottoming out.

While the number of house hunters fell back after March's gains, the number of properties for sale and the number of sales agreed were up.

Wendy Evans-Scott, of the NAEA Surrey branch, said: "Cash buyers and first-timers have waited long enough and are now pouncing on property, realising that their hard-saved deposits would be better invested in property now the market has just about bottomed-out rather than sat in a very low interest bank account.

"Getting sellers to accept these low offers is challenging as most still have high expectations and buyers assume that a large discount is automatically acceptable."

Anthony Nicholson, from the NAEA Yorkshire Branch, pushed back any talk of optimism.

"For us the year is already lost to the depression," he said. "Interest picked up as it always does following Easter but this has not resulted in a sustained improvement with sales volumes.

"In short the market is just ticking over as we wait with the builders and developers on the coast for the recovery that will surely come."

Sarah Garrod

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